Sangha v. Navig8 Ship Mgmt. Pte Ltd.

Decision Date27 February 2019
Docket NumberCIVIL ACTION NO. 18-00131-KD-B
PartiesMANJIT SANGHA, Plaintiff, v. NAVIG8 SHIP MANAGEMENT PTE LTD., et al., Defendants.
CourtU.S. District Court — Southern District of Alabama
REPORT AND RECOMMENDATION

This matter is before the Court on Defendant Navig8 Ship Management Pte. Ltd.'s motion to dismiss. (Doc. 9). The motion, which has been fully briefed, has been referred to the undersigned Magistrate Judge for entry of a Report and Recommendation pursuant to 28 U.S.C. § 636(b)(1)(B) and S.D. Ala. CivLR 72(a)(2)(S). Upon consideration of all matters presented, the undersigned RECOMMENDS, for the reasons stated herein, that Defendant's motion to dismiss for lack of personal jurisdiction be DENIED, that Defendant's motion to dismiss on the basis of forum non conveniens be DENIED, that Defendant's motion to dismiss for failure to state a claim be DENIED, and that Defendant's motion for more definite statement be GRANTED IN PART and DENIED IN PART. The undersigned also recommends that Defendant Navig8 Group be DISMISSED without prejudice as a Defendant in this matter, based upon the stipulation of the parties.

I. FACTUAL AND PROCEDURAL BACKGROUND

Plaintiff Manjit Sangha ("Capt. Sangha"), a citizen of the Republic of India, was granted permanent residency status in the United States in 2015 and resided in Boca Raton, Florida during all periods relevant to this action. (Doc. 14-1 at 1). From 2009 until October 2015, Capt. Sangha was employed by Defendant Navig8 Ship Management Pte. Ltd. ("Navig8") as a master on the M/V MISS CLAUDIA ("M/V Miss Claudia"), which sailed out of Harris County, Texas. (Doc. 1 at 2). According to Capt. Sangha, his employment relationship with Navig8 was "formed and executed" in the state of Texas. (Id.).

Navig8 is a Singaporean company, with offices in Singapore, London, and India. (Doc. 15-1 at 1). Navig8 is a technical manager of ships, with responsibility for maintaining ships and providing crews, as it did when it assigned Capt. Sangha to work as master of the M/V Miss Claudia. (Doc. 15 at 8; Doc. 15-1 at 1-2). The M/V Miss Claudia is time chartered by other companies for worldwide service, but at all times relevant to this lawsuit, the vessel was deployed as a "bunker barge" in the Gulf of Mexico, primarily loading bunker fuel in the port of Houston for delivery to other vessels in the Gulf of Mexico. (Doc. 15-1 at 1-2).

In October 2015, while Capt. Sangha was serving as a master on the M/V Miss Claudia, the ship collided with another vessel, the M/V EURONIKE ("M/V Euronike"), in the Gulf of Mexico. (Doc. 1 at 2; Doc. 9-5). The collision resulted in damage to both ships. (Id.). After the collision, the M/V Miss Claudia dry-docked in Mobile, Alabama for approximately four months for repairs. (Doc. 1 at 2-3). Although Capt. Sangha maintains that the collision between the vessels was not his fault and that he took corrective action that limited the damage to the M/V Miss Claudia, Navig8 chose not to renew his contract after the collision. (Id.).

In March 2016, Capt. Sangha entered into an employment contract with Marine Consultancy LLC ("Marine Consultancy") to serve as a mooring master on ships operating in the Gulf of Mexico. (Id. at 3). As a mooring master, Capt. Sangha was to conduct independent mooring operations and supervise ship-to-ship fuel transfer operations in the Gulf of Mexico. (Id.). Capt. Sangha reported to Marine Consultancy's principal, Capt. Johannes Schild ("Capt. Schild"), who maintains Marine Consultancy's main office in Daphne, Alabama. (Id.).

Capt. Sangha's first assignment with Marine Consultancy was aboard the M/V SONGA PEARL ("M/V Songa Pearl"). (Id.). On April 9, 2016, the M/V Songa Pearl was tasked with loading bunker fuel from the M/V Miss Claudia so that the M/V Songa Pearl could then refuel other ships in the Gulf of Mexico. (See Doc. 1 at 3; Doc. 9-5 at 4-5; Doc. 14-1 at 2-3). Before the ship-to-ship transfer operation occurred, Navig8 learned that Capt. Sangha would be the mooring master on the M/V Songa Pearl during the upcoming bunker fuel loading operation. (Doc. 1 at 3; Doc. 9-5 at 4). Capt. Sangha alleges that upon learning that he had been assigned to the fuel exchange between the M/V Miss Claudia and the M/V Songa Pearl, employees of Navig8 and/or a company named Glencore1 reached out to Capt. Sangha's supervisor, Capt. Schild, in Daphne, Alabama and informed him that Navig8 required that Marine Consultancy terminate Capt. Sangha's employment. (Doc. 1 at 3). As a result, Capt. Sangha was removed from the M/V Songa Pearl while it was docked in Houston, Texas. (Id.). Capt. Sangha alleges "upon information and belief" that Navig8 made false and misleading statements about him to his employer in order to effectuate his termination. (Id.). Additionally, Capt. Sangha alleges that Navig8 sent emails to Capt. Schild that contained false and/or misleading statements intended to damage Capt. Sangha and his professional reputation and character. (Id.). Capt. Sangha further asserts that "[d]efendants acted in malicious fashion in order to discredit Capt. Sangha and destroy his ability to work as a captain and mooring master in the Gulf of Mexico." (Id. at 4). Capt. Sangha maintains that "Defendants' [sic] made false statements and told half-truths in a misleading manner and these statements, when viewed in the proper context, were wholly false, libelous, and slanderous." (Id. at 4-5). Capt. Sangha also alleges that Defendants' actions resulted in extreme business disruption for him, loss of income, moving expenses, mental anguish, emotional distress, and other financial losses including the loss of business goodwill. (Id. at 4).

Capt. Sangha filed suit against Navig8 and Navig8 Group in Harris County, Texas on July 19, 2016. (Doc. 9-2). In the Texas lawsuit, Capt. Sangha asserted various state law tort claims, including tortious interference with his employment contract with Marine Consultancy, defamation, tortious interference with current and prospective relations and economic advantage, intentional infliction of emotional distress, and fraud. (Id.).

Navig8 removed the case to the federal district court for the Southern District of Texas based upon its assertion that Capt. Sangha's claims fell within the original admiralty or maritime jurisdiction of the federal courts. Sangha v. Navig8 ShipManagement Private Ltd., 882 F.3d 96, 99 (5th Cir. 2018).2 Thereafter, Navig8 filed a motion to dismiss under, inter alia, Federal Rule of Civil Procedure 12(b)(2). Id. Navig8 argued that the case should be dismissed because the court lacked personal jurisdiction over Navig8 and based on the application of the doctrine of forum non conveniens. Id. The district court, after permitting limited jurisdictional discovery, dismissed Capt. Sangha's claims. Id. The district court concluded that Navig8 did not have sufficient contacts with the State of Texas to permit the exercise of personal jurisdiction, and that dismissal was also warranted under the forum non conveniens doctrine. Id.

Capt. Sangha appealed and argued primarily that the district court abused its discretion by not addressing his challenge to federal subject-matter jurisdiction before dismissing the case based on the issues of personal jurisdiction and forum non conveniens. Id. The Fifth Circuit Court of Appeals affirmed the district court's dismissal on personal jurisdiction grounds and found that under the circumstances of the case, the district court acted within its discretion in deciding the personal jurisdiction and forum non conveniens issues without addressing the issue of subject-matter jurisdiction. Id. at 100-04.

Capt. Sangha then filed this action, asserting causes of action for tortious interference with existing contract, defamation, tortious interference with current and prospective relations and economic advantage, and intentional infliction of emotional distress. (See Doc. 1). On July 6, 2018, Navig8 filed the instant motion seeking dismissal of Capt. Sangha's lawsuit on jurisdictional grounds and for failure to state a claim or, in the alternative, a more definite statement by Capt. Sangha, along with an accompanying memorandum. (Docs. 9, 9-1). Navig8 contends that this Court lacks personal jurisdiction over it and is consequently precluded from adjudicating this claim. (Doc. 9-1 at 4-13). Navig8 argues that Capt. Sangha has failed to allege and cannot show that Navig8 has ever had continuous and systematic contacts with Alabama sufficient to establish a prima facie case of general jurisdiction in the state. (Id. at 5-6). Navig8 further avers that the Court lacks specific jurisdiction over it because its contacts with Alabama are minimal, consisting only of a few email exchanges with Capt. Sangha's employer, by way of Capt. Schild, who is located in Alabama. (Id. at 8). According to Navig8, these emails were not purposeful contacts with the forum state; rather, they were merely "fortuitous contacts with a third-party who happens to have an office here." (Id.). Alternatively, Navig8 asks the Court to dismiss the case under the doctrine of forum non conveniens. (Id. at 19-21).

Navig8 also seeks dismissal of Capt. Sangha's complaint pursuant to Federal Rule of Civil Procedure 12(b)(6) for failure to state a claim upon which relief can be granted. (Id. at 13-19). As an exhibit to its motion, Navig8 attaches the email correspondence concerning Capt. Sangha that was exchanged between Navig8 representatives and Capt. Schild from April 9, 2016 through April 11, 2016. (Doc. 9-5). This correspondence includes two emails sent by Navig8 representative Manish Gupta to Capt. Schild on April 9, 2016, one email sent by Navig8 representative Prashaant Mirchandani to Capt. Schild on April 10, 2016, and Capt. Schild's replies to each of those emails. (See id.). In their emails, Gupta and Mirchandani stated to Capt. Schild that Capt. Sangha was not to be involved in...

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